While a number of Web-based software programs have no place in a solo law practice, the main reason is that they are aimed at larger offices. Their prices and features match the larger number of users they serve.

Do you want to reduce the number of hours you spend on computer hassles? Consider subscribing to software as a service. Let the software company take care of updates, enhancements, and compatibility problems without wasting your time. As a solo, you do not have the luxury of a dedicated IT staff and cannot spread the cost of your local IT specialist (assuming you have found a good one) across multiple fee earners. Consider also the frustration you avoid when your software just plain works, month-after-month. You are also have tech support at no additional cost in the unlikely event that you might need it. Excellent training materials and even live, convenient initial training may be included in your subscription. You don’t get that out of a box.

As for data security, some lawyers will never want to trust an outside company. Yet all of their credit card information and banking records, both business and personal, are accessible via the Internet. Every consultant like me who works with lawyers has real-life horror stories from new clients who experienced hard drive crashes and failed backups resulting in irretrievably lost documents and records. If you think your data is safer in your office than at the leading Software as a Service providers, think again.

I don’t think broad conclusions, either positive or negative, apply to SaaS generally. You need to consider the factors Aaron describes, but don’t be deterred by alarmism. Spend more time on evaluating how well the software choices fit your needs and seeking out others who have used the software to get their impressions. And don’t assume that the lowest annual cost wins. Your time is valuable and so is your peace of mind. Fewer computer problems and less time spent on installation and updating can make you a happier lawyer.

Additionally, the suggestion that you could use any piece of software without upgrading it is a little optimistic. Software upgrades are purchased for many reasons, only one of which is features. Often times you have to purchase to stay compatible with your clients or suppliers. Sometimes because the old version is not compatible with a new operating system (or other software it may interact with). And finally sometimes the product reaches end-of-life. All version of any product will eventually become unsupported, and unfixed. While you may not need a new feature, you probably want that security bug squashed.

Even skipping versions and upgrading only every 5-10 years may not save you money. Both Adobe and AutoDesk have implemented sliding upgrade fees based on the version you are upgrading from. While this is far from a common practice, more companies will undoubtedly implement this model as they attempt to smooth their cash flow.

Finally, the suggestion that a ASP is any more likely to raise rates seems unfounded. While I’m fairly certain the price of Final Cut Pro isn’t going to change, I don’t have any guarantee, and I’m convinced the next version of creative suite will be more expensive.